Tag Archives: Single-Family Rental Market

The summit will include labs covering such topics as acquisition, securities, financing, insurance and law, disposition strategies for the SFR market, and rehab. It will also feature an exhibit hall, a general assembly on property management, a dialogue on how to gain scale and the challenges it presents, and several networking events.

The labor market has improved as the economy has rebounded, and people are moving from the center of the country to the coasts to places that have experienced robust job growth like New York, Florida, and Los Angeles—but they want to be able to move around without being tied down to a mortgage.

The ARP 2014-SRF1 transaction (American Residential Properties) once again had the highest delinquency rate out of the 21 transactions at 2.2 percent as of the end of August, holding steady from July after taking a big drop from 3.0 percent in June.

In a report titled "Single-Family Rentals: A New Approach to Affordable Housing" by Center Creek Capital Founder Dan Magder and Urban Institute Director of Housing Finance Policy Laurie Goodman released Monday, the authors say SFR should be considered by policymakers as an integral part an affordable housing strategy because of volume, location, neighborhood impact, and affordability.

The combined company, which will be managed internationally, is expected to own and manage more than 30,000 single-family homes nationwide and have an asset value of about $7.7 billion when the transaction closes, according to the announcement.

When the panel of four experts debated whether the current single-family rental market is a "bubble" or is here to stay and the question was put to them by Tim Herriage, the lab's director, three of the four experts answered that it was here to stay. That is, three out of four experts believe that investors will be able to sustain the single-family rental market enough to avoid a housing crisis like the one in 2008.

The mortgage industry has recognized the growing popularity of the single-family rental market. This week at the 2015 Five Star Conference and Expo in Dallas will include the inaugural Single-Family Rental Lab, and Five Star will host the inaugural Single-Family Rental Summit in Las Vegas from October 11 to 13.

During the housing crash, big investors stocked up on thousands of foreclosed properties for single-family rentals with intentions of selling them when home prices recovered. But they didn’t.

That number of 12.7 million detached homes currently in the single-family rental market comprises about 29 percent of the demand for rentals nationwide (out of 44.3 million), according to Burns.

Even with the higher-trending vacancy rates, monthly retention rates stayed within Morningstar's expectations, in the mid-70s to low-80s range.